Despite bitter opposition from the US and warnings of economic sanctions, Pakistani President Asif Ali Zardari and Iranian President Mahmoud Ahmedinijad on 11 March 2013 officially inaugurated construction work of a delayed $7.5 billion gas pipeline. The ceremony, which the President’s office described as a ‘big event’, was held in the Iranian border city of Chabahar. Both Presidents were accompanied at the ground-breaking by delegations comprising ministers, top officials as well as representatives of several Arab states.

Pak Iran gas pipeline is one of the important historic deals of the world especially in Pak and Iran horizons. The project will bring economic prosperity and opens new avenues of relationship between both the countries. Basically, Pakistan is energy stricken country and its growing economy failed to generate revenue requirements. Hence, it is need and necessity of the time to import cheap energy from neighboring country Iran in order to meet energy requirements and lessen our debt burden. The pipeline project will prove to be as the permanent energy bailout package for our energy deficiency.

The other impacts of this project could be; opening up new avenues of economic prosperity, extends business, commerce and trade activities and enhancing cultural relations with a country that has contributed so much, to our history, languages, literature, art and architecture. Meanwhile, tourism and sports activities will also increase which ultimately brings both countries closer.

Although the pipeline projects formal completion date is December 2014, a detailed feasibility plan is still being worked out and the source of funding is yet unclear. In July 2011, President Ahmadinejad has offered to fund construction of the 761 kilometers inside Pakistani territory. Iran declared at the time that it had laid the pipeline on its side to within 50 kilometers of Pakistans border. But the Iranian offer has to be taken with a good meanwhile, Irans economic difficulties are rapidly mounting. Chinas largest bank, the Industrial and Commercial Bank of China, has backed out from its earlier commitment.

In June of that year, members of the opposition benches in the Balochistan Assembly exhibited unprecedented unity and passed a resolution seeking royalty for the province in the proposed multi-billion dollar IP gas pipeline project. Further, the assembly also demanded Balochistan`s representation in the IP talks, free gas for adjacent populations, a 100 per cent job share and a major share in any royalty. It is added that, there is no constitutional or legal guarantee that royalty in any form, including security, jobs or gas, will be supplied to the people of Balochistan.

Islamabad cannot deny the fact that Balochistan represents 44 per cent of the country`s landmass and shares strategically significant coasts and border areas with the energy-rich Middle East, through Iran.

Pakistan took a firm stand on the issue. In this regard last week, Foreign Minister Hina Rabbani Khar, addressing a joint press conference with her Swedish counterpart, said that Pakistan was committed to the Iran-Pakistan gas pipeline. She also laid to rest any doubts that a Chinese bank’s decision to back off from funding the project would affect plans to import gas from Iran. She said: “There are multiple sources available and this is a very viable project.”

For Pakistan the IP gas pipeline project is its energy lifeline for the future as it will provide the cheapest and most suitable fuel for power generation. According to an estimate that, the gas to be supplied by Iran would help generate around 4,000MW of electricity, besides providing job opportunities in the backward areas of Baluchistan and Sindh.

Anyhow, US factor again mounted pressure on Islamabad to forego with the project, otherwise sanctions could be imposed on Pakistan. In this connection, Hillary Clinton said that the Turkmenistan pipeline was a better alternative, predictable and would avoid business with Iran and added that embarking on the construction of a Pak-Iran pipeline is in violation of the Iran Sanctions Act. She said, “We all know what the consequences of that law are.” Else the U.S shall isolate itself away from a goal that is truly important, the fight against global terrorism.

On March 7, another US Departments spokesperson, Victoria Nuland, spoke on the subject and said: The proposed deal will violate UN sanctions laws. She acknowledged that Pakistan has a lot of unmet energy requirements. The US, she added, was aware of these requirements and has been working in close partnership to find better ways to meet these needs.

But Pakistan totally rejected American stance since Iran-Pakistan pipeline project is vital to her flourishing economic and meeting future energy requirement.

Another factor which need serious attention that fast friend of Pakistan Saudi Arabia is not very pleased over the Pak-Iran project. The Saudi attempt to create divisions and distrust with a neighboring country is plainly insidious and deserved a response from Pakistans leaders one no less firm than the one delivered to the Americans. The Saudi plan is just as unworkable as the TAPI pipeline, which the US is pushing as an alternative to the IP pipeline. TAPI would run through Turkmenistan, Afghanistan, Pakistan and India. But with Afghanistan likely to be embroiled indefinitely in civil war after 2014, only a wild idealist can believe that a pipeline traversing its hostile and intractable terrain could provide secure oil supplies.

Let us hope the next elected national government would have to complete this Peace Pipeline Project with vision, will and capability to make up for the last decades and move fast to lift the society and the state to higher levels and scrupulously work for the development of the country development and welfare of the people. Iran-Pakistan gas pipeline can prove to be the starting point of a new era of peace and prosperity for the entire region. US and others opposing western countries should stop playing power politics with the developing and under developing countries in the name of nuclear proliferation . They should not forget US-India nuclear deal before yelling against Pak-Iran Gas Pipeline Project.

Islamabad, MTT News Desk: The Pakistan Economy Watch (PEW) on Wednesday said inauguration of Pakistani portion of Iran gas pipeline, economically and strategically crucial for the future of our country, is the greatest achievement of the incumbent Government.

This historic decision, taken after a long delay, will help attract investment, provide jobs, and revive sliding economy while it has renewed hopes among dejected masses and business community reeling under severe energy crisis, it said.

The decision shows that Pakistan has decided to put its own interests ahead of the interests of all other nations and it is unwilling to sacrifice economy for the sake of the sole super power which has helped government gain global admiration, said Dr. Murtaza Mughal, President PEW.

President Zardaris bold step will result in enhanced regional connectivity while balancing Pakistans relations with Iran and the Arab world to enhance our dignity among comity of nations, he added.

Dr. Murtaza Mughal said that slapping sanctions on Pakistan is against US interests, as it will have negative impact on war on terror and make US withdrawal from Afghanistan difficult.

He said that that American apathy towards Islamabads economic compulsions resulted in rapid developments related to the project, which have surprised many independent observers.

US continued to offer costly and unviable solutions to Pakistans energy problems including TAPI but it refused to sign a Civil Nuclear Agreement as she did with India which was discrimination with an important ally, Dr. Murtaza Mughal noted.

The decision will go a long way in ensuring energy security for Pakistan and improve our energy mix heavily tilted towards oil.

He warned that Iranian gas will of little use if government failed to introduce power sector reforms, attracted investment in exploration and cull circular debt.

Governments tall claims to relieve country of energy crisis by importing natural gas from Iran remained confined to statements for public consumption and they woke up to the issue days before assemblies are scheduled to be dissolved which has raised doubts among many, said Farida Rashid, President IWCCI.

She said that all the statements of leading politicians claiming to reject US pressure on pipeline are aimed at gaining popularity and add to the problems of the next government as Pakistan is ill prepared to afford US confrontation.

Why government did not initiate the project soon after coming to power which would have helped revive economy and why now everything is being done with an amazing speed, she questioned.

Farida Rashid said that US would never allow Iran to increase its presences, income and influence in the region. She do not want to see a stable Pakistan too, the president of the womens chamber added.

Many experts have rejected the tall claims of the government at a time when country is heading towards a default.

Pakistans balance of payment situation has become highly unstable, forex reserves are at unsatisfactory level while country cannot pay for imports for more than two months.

In such a situation when almost every sector of the economy is limping how can Pakistan avoid a minimum of 9-10 billion dollar loan from the IMF which can be provided only on the behest of US, said Farida Rashid.

Pakistan can never have reliable energy supply from Iran unless US stop looking at the project from a political angle and start considering it imperative for survival of Pakistan.

Farida said that handing over Gwadar port to China was a laudable decision that may have something to do with fresh wave of terror across the country.

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The Pakistan Economy Watch (PEW) on Sunday said that American influence in Pakistan has reached to a limit where national dignity, sovereignty and interests are being compromised without considering the outcome.

Pak-Iran gas pipeline, one of the most vital and long-delayed projects necessary for the survival of the country has been abandoned ending hopes of revival of shambling economy, said Dr. Murtaza Mughal, President PEW.

He said that the project to meet ever-increasing energy requirements stands quitted on the dictation of Washington which is another example of compromising national interests to please others.

The sudden and unexpected cancellation of visit of President Asif Ali Zardari to Tehran where he was supposed to seal a final gas deal with his counterpart Mahmoud Ahmadi-Nejad is unfortunate.

Dr. Murtaza Mughal said that cancellation of the visit without bothering to give any explanation and silence of opposition over the issue is shameful.

He said that declining Iranian offer to provide $500 million to complete the pipeline while happily accepting US suggestion to make available $200 million for construction of Diamer-Bhasha dam is something which will never go down well with masses.

Pakistan will start paying Iran $ 200 million monthly to Iran whether it received any gas or not for which the incumbent government will be sole responsible, he said.

Pakistan has sacrificed everything to support US which is against our national interests; he said adding that it is tragic that government has once again proved that we are unable to safeguard our interests.

There is no justification for turning back from a project that was in advance stages of implementation, he observed.

Rejecting the statement of spokesman of foreign office over Presidents visit, Dr. Murtaza Mughal said that now country depends on the US assistance even for maintenance of tube wells and electricity meters which supports the belief that Pakistan is a collapsing state fallen in US the trap.

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Islamabad, MTT News Desk: Tehran is to review trade policies related to Pakistan later this month in a conference to hammer out all issues hampering trade and boost bilateral trade, a top official of Iran said.

Pakistani business community should participate in the moot to help formulate appropriate trade policy for ensuring sustainable trade between the two countries, said head of the visiting Iranian delegation Alaeddin Broujedri, Chairman National Security and Foreign Policy Committee.

Speaking to business community at FPCCI Capital Office, Broujedri said that all the issues being faced by Pakistani business community will be forwarded to Parliament for swift resolution.

Borojourdi said that Iran was committed to the gas pipeline with Pakistan and also offered to help constructing the pipeline in Pakistan as well by providing a total of $500 million dollars.

We are looking forward to the visit of President Asif Ali Zardari to Tehran on Dec 07 to finalised key agreement on the multi-billion dollar gas pipeline, he informed.

He said that once Iran gas starts flowing in Pakistan; it will settle the problem of energy scarcity in Pakistan.

We are impressed by the warm welcome given to us and practical wisdom of the business community here, other members of the delegation said.

Speaking at the occasion, Chairman Senate Defence and Defence Production Committee Senator Mushahid Hussain Sayed said that the two brotherly countries share common perception on many issues and we will continue to support each other on regional and international issues.

Iran has a unique distinction of being the first country to internationally recognize the status of Pakistan in 1947, he said.

Chairman Coordination FPCCI Atif Ikram Sheikh while underlining the need for enhanced trade said the business leaders said that this visit and todays meeting should begin of new phase of relations between two nations with bilateral trade doubled in one year.

Tehran should reduce import duty on rice and boost imports to reduce trade imbalance, he said.

The two countries should explore more possibilities of augmented barter trade through closer cooperation between public and private sector as relationship between two countries could go a long way in the presence of good rail, road air and sea links.

Islamabad, MTT News Desk: Vice President Saarc Chamber of Commerce and Industry Iftikhar Ali Malik on Monday said D-8 summit will open new vistas of development in the block which is home to over half a billion people.

He congratulated the government for successfully holding summit of D-8 countries at a right time.

Iftikhar Ali Malik said this while speaking at a dinner hosted by Chairman of Blue Area Malik Sagheer and Chairman Media and Diplomatic Affairs FPCCI Malik Sohail to celebrate the handing over of chairmanship of D8 Federation of Chambers of Commerce to FPCCI.

Malik lauded the role of President Asif Ali Zardari and PM Raja Pervez Ashraf to lead the developing countries towards better future by shedding light on available opportunities of progress and prosperity.

Collaboration of D-8 countries to overcome energy deficiency would result in boosting economy in Pakistan and other countries, said Malik.

All of the D8 states are capable of shaping their destinies free of pressures said Iftikhar Malik, adding that all of us have the basic strengths in terms of natural resources and human capital to become a powerful economic bloc.

Speaking at the occasion, President FPCCI Haji Ghulam Kadir Sherani said that the Summit did greatly succeed in carving out a roadmap for the Muslim-majority countries to jointly face the emerging socio-economic and global political challenges.

The vision adopted by the conference unfolded huge scope to join hands and work for the common good of their more than half a billion people.

He said that the main areas for a joint action by the D-8 members were identified as investment in the energy sector through public-private partnerships which was a great step.

Sherani said that such bold steps would help achieve long-term energy security and help collaboration in areas like capacity building, transfer of technology and exploration of new energy sources.

Speaking on the occasion Malik Sagheer and Malik Sohail said that D8 countries are in a position to achieve self-sufficiency in the critical area of energy.

D-8 member-states have both opportunities and challenges which we will overcome by joint effort soon for which understanding, liberalised visa regimes, enabling customs procedures and supportive banking services are imperative, they said.

Sagheer and Sohail congratulated FPCCI leadership on getting chairmanship of D8 Chamber and hoped that they will play their role to bring all countries together.

Pak-Iranian relations are rapidly strengthening day by day. During the visit of Irans Vice President for International Affairs Ali Seedlou, both the countries signed three agreements on November 13, this year as part of Memorandum of Understandings (MoUs) to promote economic cooperation, timely completion of Iran-Pakistan (IP) gas pipeline project and electricity import from Iran. Both the sides agreed to increase bilateral trade to $5 billion mark.

Iran which already completed its portion of gas pipeline has decided to invest $500 million assistance in building Pakistani part of the project. In this respect, Iranian President Mahmoud Ahmadinejad is also visit Pakistan.

In the third trilateral summit at Islamabad, on February 17, 2012, Pakistans President Asif Ali Zardari, Iranian President Mahmoud Ahmadinejad and Afghan President Hamid Karzai put their heads together to forge regional cooperation in multifaceted areas. They pledged to eradicate terrorism and militancy from the region.

In response to Karzais blame game regarding cross-border terrorism, Zardari had clarified, I deny this notion that any of our armed forces are directly or indirectly involved. He stated, without naming America, Who was the owner and financer of former chief of Tehreek-e-Talban Pakistan Baitulllah Mahsood.

Zardari vowed to fight US pressure on the Iran-Pakistan gas pipeline, saying that the external forces can not undermine bilateral relations. Notably, Pakistan also assured to support Tehran, if the US or Israel launches a military attack on Iran.While hinting towards the US, the Iranian president revealed that the problem in the region had no local roots, but it was imposed from external fronts.

In fact, Pakistan and Iran are quite sincere about regional cooperation among the three countries including stability in Afghanistan, but Hamid Karzai has been implementing American secret diplomacy in the region.

However, Pak-Iranian relationship cannot be seen in isolation as it relates to major powers. In this regard, after the withdrawal of NATO troops from Afghanistan in 2014, US which signed an agreement of strategic cooperation with Kabul has decided to establish six military bases in Afghanistan, having eyes on the energy resources of Central Asia, with multiple strategic designs against Pakistan, Iran, China, and Russia. In this context, on January 5, 2012, US President Obama unveiled a new defence strategy which calls for greater US military presence in Asia.

Besides China, Pakistan has also cultivated its relationship with the Russian Federation. In this respect, Russian Foreign Minister Sergei Lavrov visited Islamabad on October 3 and on the same day, Pakistans Chief of Army Staff Gen. Ashfaq Pervez Kayani left for Moscow. The main aim of these visits was the reorientation of Pak-Russian Relationship by concluding strategic partnership in the long run.

In 2010, President Putin publicly endorsed Pakistan bid to join the Shanghai Cooperation Organisation (SCO) which includes Russia, China, four Central Asian Republics as permenent members, and Pakistan and Iran as observers. Pakistans President Zardari participated in the summit of the SCO held in Beijing, this year. In their speeches, hinting towards US secret designs, Chinese president Hu Jintao and President Putin stated, Only when SCO member states remain united can they effectively cope with emerging challenges-enhancing security cooperation.

In various summits, the SCO leaders displayed strength against the US rising dominance in the region and military presence in Afghanistan, near Central Asia.

Nevertheless, US new defence strategy is part of Indo-US hidden agenda in Afghanistan. First of all US seeks to protect the puppet regime of Karzai and Indian influence in Afghanistan under the umbrella of its military presence because it knows that otherwise, Taliban militants will topple the Karzai regime, also forcing India to withdraw its network from Afghanistan. India which has already invested billion of dollars in Afghanistan, signed a strategic partnership agreement with that country on on october 5, 2011, wants to further fortify its grip there to get strategic depth against Islamabad.

US bases in Afghanistan and the Gulf will also enhance its ability to gather intelligence on Iran. In December, 2011, Iranian authorities recovered a CIA surveillance drone which had been launched from Afghanistan. Although US President Barrack Obama has asked Israel to postpone invasion of Tehran, yet a war-like situation exists between Iran and America over the nuclear programme of Tehran, which is for energy-purposes. In the recent past, Russia and China rejected US-led western sanctions against Iran and asked America to resolve the question of Irans nuclear programme peacefully.

It is notable that US which signed a nuclear deal with India in 2008, intends to make India a super power of Asia to contain China and destablise Pakistan as well as Iran. Balochistan where China has invested billion of dollars to develop Gwadar seaport is considered a greater threat by these hostile powers.

Meanwhile, during the visit of Pakistans Chief of Army Staff Gen. Kayani to Kabul, Pakistan, ISAF and Afghanistan on November 20, this year signed an agreement of the Tripartite Border Coordination Mechanism in the wake of cross-border firing and militant infiltration from the Afghan side. But US is playing double game with Islamabad. Sometimes, it praises Pak sacrifices regarding war on terror, sometimes, admits that stability cannot be achieved in Afghanistan without the help of Pakistan after the withdrawal of foreign troops, sometimes, realises that US wants to work to put its relationship with Pakistan on a stronger footing, also requesting the latter to play key role for Afghan peace deal with the Taliban, but at the same time, it blames Islamabad for safe-havens of militants and cross-border attacks in Afghanistan.
Especially, US has been supporting cross-border infiltration in Pakistan with the assistance of American CIA, Indian intelligence agency, RAW and Israeli secret agency, Mossad which have well-established their network in Afghanistan to denuclearise Pakistan. For this purpose highly trained militants, equipped with sophisticated weapons are being sent to Pakistan, who are regularly conducting subversive acts and sectarian violence in various regions of the country.

Besides, reality behind the deteriorating situation and the missing persons of Balochistan is that CIA, RAW and Mossad have perennial been backing bomb blasts, suicide attacks, abductions, target killings, ethnic and sectarian violence in Balochistan through their affiliated militant groups such as Balochistan Liberation Army (BLA), Jundollah (Gods soldiers), and Baloch feudal lords (Sardars) in order to fulfill their secret strategic designs so as to dismember Pakistan and Iran.

Pakistans Federal Interior Minister Rehman Malik disclosed in his recent statements that he showed proof about training camps being run in Afghanistan, and supply of arms and ammunition by the Afghan government to Baloch separatists inside Balochistan.

However, BLA and Jundollah are also working against the cordial relationship of Pakistan with Iran and China. In the past few years, their militants kidnapped and killed many Iranian and Chinese nationals in Pakistan. Notably, Jundullah conducted several subversive acts in the Iranian Sistan-Baluchistan. Particularly, Tehran has repeatedly pointed out US and CIA for patronage and funding of those terrorist attacks.

In this context, the former Foreign Minister of Pakistan, Shah Mehmood Qureshi had stated, It is obvious that the same forces which are working in Pakistani Balochistan are also working in Iranian Sistan. While, Irans Supreme Leader Ayatollah Khamenei had indicated, The bloody actions being committed in Iraq, Pakistan and Iran are aimed at creating a division between the Shias and Sunnisthose who carry out these terrorist actions are directly or indirectly foreign agents.

It is mentionable that on February 8, 2012, the hearing of the US Congress Committee on Foreign Affairs, chaired by Dana Rohrabacher favoured an independent Balochistan. And military scholar Lt. Col. Ralph Peters, while writing in the June 2006 issue of The Armed Forces Journal of the US had suggested Washington about the creation of a Greater Balochistan which would integrate the Baloch areas of Pakistan with those of Iranand the Frontier Province should be incorporated into Afghanistan.

Nonetheless, although Pakistan and Iran seek to further strengthen their cooperation, yet US, India and Israel intend to weaken their relations as part of the collusion.

Sajjad Shaukat writes on international affairs and is author of the book: US vs Islamic Militants, Invisible Balance of Power: Dangerous Shift in International Relations.

Islamabad, MTT News Desk: The Islamabad Women’s Chamber of Commerce and Industry (IWCCI) on Sunday said phasing out Compressed Natural Gas (CNG) industry will put an additional strain of one million dollar per day on Pakistans forex reserves.

Calling for an out of the box solution, it said that policymakers should not test the limits of foreign exchange reserves at a time when countrys revenue generation ability has been compromised and it has to repay four billion dollar to IMF and ADB.

Domestic debt has crossed Rs 8 trillion marks while government has to pay back $3.4 billion in 2012-13, $3.43 billion in 2013-14 and $1.35 billion in 2014-15 to retire IMFs loan, said President IWCCI Farida Rashid.

Speaking to a meeting, she said that replacing economical fuel like CNG with costly alternatives will require additional import of 2.5 lakh tonnes of diesel and same amount of petrol or 4.3 million barrels per annum.

Pakistans local crude production stands at 60,000 barrels per day while 30,3000 barrels are refined daily through six refineries, she informed.

Pakistan total consumption stands at 425000 bbl per day which is satisfied through importing 243000 bbl crude and 122000 bbl refined imports while rest is catered through local production.

Closing down CNG sector will require additional import of 13000 bbl per day of refined products costing around Rs 100 million per day, she said.

Farida Rashid said that decisions that can trigger multiple problems should be revisited and steps should be taken to boost local production by enhanced exploration, offering incentives and out of the resolution of disputes with private companies which have stopped gas extraction since long.

She said that plans to import natural gas from Iran and Turkmenistan should no longer remain on paper while line losses and theft of gas has touched mark of 19 per cent for the first time in history which merits an independent probe.

Government can also consider converting fertiliser sector on coal which will save 750mmcfd gas per day or 25 per cent of the total natural gas production to resolve gas crisis, she said.

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Although the whole of Islamic world is target of Indo-Israeli plot, yet the same has intensified in case of Pakistan and Iran. It is because of the fact that Pakistan is a declared atomic country, while Iran is determined to continue its nuclear programme. In this regard, US-led some western countries have also been supporting the Indo-Israeli nexus against Islamabad and Tehran overtly or covertly.

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The attack which killed the national Deputy Commander of the ground forces of Iran’s Revolutionary Guards (RG), General Noor Ali Shooshtari and the provincial commander for Sistan-Baluchistan, Rajab Ali Mohammadzadeh along with some senior officers and 42 others in a homicide bombing inflicted Iran’s worst military casualties in years.